MAMUJU – West Sulawesi Governor Suhardi Duka (SDK) has issued a stern warning to several palm oil plantation companies suspected of underreporting their local tax obligations, particularly in relation to surface water usage. During a Regional Revenue Optimization Meeting held at the West Sulawesi Governor’s Office on Friday, April 25, 2025, tensions escalated when the governor abruptly walked out of the meeting in frustration.
The governor’s reaction followed revelations of inconsistencies between the volume of surface water reported as used by companies and the corresponding tax payments made to the regional treasury. SDK stated that the discrepancies strongly suggest deliberate underpayment that harms the province’s revenue.
“This is clearly unacceptable. These companies are using large volumes of water, yet their tax contributions do not reflect that,” Suhardi told reporters after the meeting, as quoted by Palmoilmagazine.com on Monday (April 28, 2025).
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A former Member of Parliament (2019–2025), Suhardi accused some companies of deliberately avoiding their tax responsibilities. He emphasized that such practices must end to allow the province to maximize its potential revenue for development efforts.
The governor affirmed that the provincial administration is strengthening its tax monitoring and collection systems—especially regarding the use of surface water—and is prepared to pursue legal action if the matter remains unresolved.
“If there’s no resolution, we will take legal steps. This is about the rights of the region, and we will defend them,” he declared.
Governor Suhardi’s bold stance underscores West Sulawesi’s commitment to greater transparency and accountability in regional tax management, sending a clear message to businesses to comply fully with existing tax regulations. (P2)
